Retailers to step up hiring this year as industry expands
More than half of Indian retailers (52%) are planning to onboard fresh graduates this year, while about two in five (38%) retailers are seeking to recruit experienced professionals, according to a report by staffing and recruitment firm GI Group.
In 2023, the retail industry experienced an 8% rise in job applications, while demand surged by 18%, indicating a strong interest in retail hiring. This was driven by retailers continuing their expansion across tier-1 and tier-2 cities.
In fact, tier-i cities witnessed the highest influx of applicants, accounting for 58.49% of the total, followed by tier-ii and tier-iii towns, according to the report. The report anticipates this distribution pattern to hold through this year, reflecting ongoing industry trends.
Hiring trends are the strongest in categories such as electronics and gadgets, followed by beauty and personal care, and fashion and lifestyle. These trends are in line with changes in the retail market post-pandemic that saw more households buy appliances.
The beauty and personal care market, too, has exploded with several retailers, including Reliance Retail, Shoppers Stop and Tata group companies having expanded their presence in the market for beauty retail, requiring more personnel.
According to the report, 87% of retail applicants in 2023 were aged between 18 and 30, signalling a strong inclination among the youth towards careers in retail.
The data also reflects the rapid expansion by offline retailers over the past couple of years. For instance, gross leasing stood at 2.8 million square feet in the first half of 2023, according to real estate consulting firm CBRE, far outstripping new retail supply in the market.
The vacancy rate—the percentage of vacant space in a given mall—declined sharply after the pandemic due to robust leasing on the back of aggressive expansion plans of retailers, coupled with limited availability of quality retail spaces, the report said.
GI Group’s report also signalled a significant uptick in hiring trends in the e-commerce and logistics sectors as more shoppers who turned to delivery platforms during the pandemic lockdowns stayed with the habit.
Meanwhile, the logistics sector faced a 13.89% decline in active jobs during the December quarter, attributed to challenges during peak season fulfilment.
However, the onset of 2024 saw a promising 10.24% increase in new job postings, with projections of continued growth leading up to this year's peak season, it said.
In 2023, the retail
industry experienced an 8% rise in job applications, while demand surged by 18%